Auto Loans in Laguna Niguel (CA)

If you’re interested in a new car, there’s a high probability you are going to need an auto loan to complete your purchase. For years, we’ve been establishing a network of lenders and dealers across the nation, which means we can help applicants from every financial background. You will be led one step at a time through the auto financing process by a financing professional in Laguna Niguel.

Credit Approval for Laguna Niguel Car Shoppers

  • You need to make at least $750 each two weeks.
  • Pay down revolving credit debt, to decrease your debt-to-income ratio.
  • Challenge any errors on your credit report.
  • Get a car or truck which costs no more than 50% of your annual income.

Considerations for People in Laguna Niguel with Bad Credit

Bad credit makes for:

  • Increased annual percentage rates.
  • More significant down payments.
  • Shorter lending terms.

Seeking out a lending company in Laguna Niguel that serves people with bad credit is essential, as you don’t want to have your credit denied or have to deal with an exorbitant APR rate. More often than not, we can place your application with a dealer or lender in your zip code who wants to approve you for financing.

Getting financed, not picking out a new car or truck, typically comes first at any dealer that finances bad credit. To get the lowest rate you can, make sure you ask the dealer the buy rate. This is the rate offered by the lender before the dealer has tacked on extra points for lining up the loan. You shouldn’t be tempted into financing a car or truck which costs more than you feel comfortable with. Keep in mind, you’ve got a credit score to improve.

Laguna Niguel Buy Here Pay Here Car Lots

Considering financing a car through a BHPH dealer because of bad credit? Usually, there are considerably better alternatives. Such car lots provide car loans on the lot, whereas most dealers make use of banks and other lenders, and they are more focused on your income than your credit. Regrettably, you should expect high loan rates, massive down payments, and high mileage vehicles that are overpriced. That isn’t all: these car lots rarely work with the credit bureaus, which means you could make all of your payments punctually without a boost to your FICO score.

Laguna Niguel Consumer Profile

  • Yearly Income: $40,073
  • Monthly Income: $3,339
  • Suggested Monthly Payment: $267 (8% of monthly income)

In general, an appropriate auto loan carries a down payment of 20%, car payment of less than 10% of monthly income, and term length of 5 years or less. With an income of $3,339 a month, let’s see what price car you could buy based on your credit.

Good Credit Average Credit Subprime Credit
Monthly Income $3,339 $3,339 $3,339
Car Payment $267 $267 $267
Interest Rate 3.50% 7.00% 11.00%
Repayment Years 5 5 5
Car Price $18,354 $16,863 $15,357
Down Payment $3,671 $3,373 $3,071
Interest Paid $1,344 $2,537 $3,742
Total Paid $19,698 $19,400 $19,099

Your New Car is Waiting!

We have lenders and dealers who are waiting to approve your credit. Talk with an auto finance specialist in Laguna Niguel today.